White House Adviser Criticizes Spirit Airlines' Closure Explanation

White House economic adviser Kevin Hassett has challenged Spirit Airlines' assertion that escalating fuel costs, driven by the conflict in Iran, were the primary cause of its recent shutdown. Speaking on CBS's "Face the Nation," Hassett pointed out that Spirit had previously filed for Chapter 11 bankruptcy twice, suggesting that the airline's business model was fundamentally flawed. He noted that other airlines have managed to continue operations despite rising jet fuel prices, attributing their resilience to proactive measures such as hedging fuel purchases. Hassett also criticized the Biden administration for blocking a proposed merger between JetBlue and Spirit, implying that this decision contributed to Spirit's financial difficulties. Transportation Secretary Sean Duffy echoed this sentiment, stating that Spirit was in financial trouble prior to the Iran conflict and that efforts to secure a $500 million bailout were unsuccessful.